Are you uncertain about Uncertain Tax Positions?

Description

Abstract: This article notes that, starting with the 2014 tax year, corporations that have assets of at least $10 million and meet other filing requirements — such as filing audited financial statements or including UTPs in others’ audited statements — must file Schedule UTP (Form 1120), “Uncertain Tax Position Statement.” That’s a shift, as the UTP reporting rules were limited to companies with assets of at least $50 million for the 2012 and 2013 tax years. The expanding scope of UTP reporting is significant — in some cases it may increase the chance that a company will be audited. A sidebar explains when a Schedule UTP is not needed.